Civil Servants Trade Union (CSTU) and the Consumers Association of Malawi (CAMA) have expressed dissatisfaction with the new tax measures approved by the government, describing them as a burden and detrimental to citizens’ welfare.

CSTU Secretary General, Titha Gomani, said the union does not agree with the revised Pay As You Earn (PAYE) tax structure, arguing that it will further strain the already challenging livelihoods of civil servants.

Gomani said the union has engaged the Government Negotiation Team (GNT) to push for reconsideration of the measures.

"Our next course of action will depend on the outcome of these discussions," she said  

She added that with the new tax measures it means that civil servants  take home pay will significantly decrease. She emphasized the need for government to thoroughly review the changes to avoid worsening the economic hardships civil servants already face.

Meanwhile, CAMA Executive Director, John Kapito, has also criticized the tax adjustments, particularly the value-added tax (VAT), saying such taxes have historically done little to improve people’s lives.

Kapito argued that increases in VAT make essential goods unaffordable for many Malawians.

“Anytime the government introduces taxes like value added tax, it makes people unable to buy goods,” he said .It is always advisable that in an economy like Malawi, one has to be careful in how taxes are introduced because most of the taxes we have are poverty creators," he said.

On Tuesday, Parliament passed two taxation bills despite strong opposition from various stakeholders.